The basic rule is, all other factors being equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Kilburn may extend the lease for a further ninety years in accordance with the 1993 Leasehold Reform Act. Please give careful consideration before delaying your Kilburn lease extension. Postponing the costs today simply increases the amount you will eventually be required to pay for a lease extension.
It is generally considered that a residential leasehold with over 100 years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 45 years remaining, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Godiva Mortgages | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Yorkshire Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
Lease extensions in Kilburn can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and valuer with experience in lease extensions.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Kilburn lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Felix was the the leasehold proprietor of a 2 bedroom flat in Kilburn being marketed with a lease of a few days over 61 years left. Felix on an informal basis contacted his landlord being a well known Manchester-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Felix to exercise his statutory right. Felix procured expert legal guidance and was able to make a more informed judgement and handle with the matter and readily saleable.
Last month we were phoned by Mr and Mrs. M Hernández , who moved into a ground floor flat in Kilburn in April 2006. The question was if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Similar properties in Kilburn with 100 year plus lease were in the region of £290,000. The average amount of ground rent was £45 billed monthly. The lease ended in 2097. Having 72 years as a residual term we approximated the premium to the freeholder to extend the lease to be within £11,400 and £13,200 not including expenses.
An example of a Freehold Enfranchisement case for a Kilburn premises is 4 & 4A Charteris Road in June 2009. the Tribunal held that the price to be paid for the enfranchisement of 4/4a Charteris Road to be £15,510 for at 4and £15,694 for at 4a This case affected 2 flats. The unexpired term was 70.02 years.